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Waiting on PCE

Every one is awaiting the release of the personal consumption expenditure (PCE) report–markets must be anticipating good news as the S&P500 is up 1/4% and the 10 year treasury is trading at 4.09%.

Of course we have the weekly initial jobless claims which has become more and more important as we track employment, which I believe is 1 of a handful of ‘most important’ indicators for the FED and the FOMC committee in interest rate decisions.

Personally I have had 3 good til cancelled buy orders execute in the last week–plus I have purchased a 5.6% 1 year CD (which of course is callable). None of the baby bond purchases were of any magnitude – actually they were all in the same security at lower and lower prices. I intend to get a ‘blurb’ out today or tomorrow outlining those small purchases and the logic behind them.

I continue to have multiple good til cancelled buy orders out there, but they will need the help of ‘nervous nellies’ selling to me at what I consider a bargain price. I have not sold anything recently but once again am considering lightening up on a few small bankers now that they have popped up from the recently sell-off–I have couple with 10% gains (capital gains plus 1 or 2 dividends) and may sell part of those positions–we’ll see.

5 thoughts on “Waiting on PCE”

  1. The crazy thing is that the nervous nellies are creating opportunities.

    Over the last several days, I have had several small volume GTC sells and buys on the same issues fill within a couple of hours for a $1+/share profit.

    Not going to make me rich, but it will pay for lunch.

    One challenge is that this usually happens in low volume issues I want to build a position in – but I am too greedy to pass up a quick dollar (or three).

    I guess it is a nice problem to have.

    1. Private, same here but not on a low volume one unless you consider 15,000 to 25,000 volume for a preferred low.
      But I have what I feel is a full position I am trading around. I like the holding and if it drops more I would probably buy more to lower my cost basis and keep trading. As long as the fundamentals of the company doesn’t change

  2. Right now market is treating bad news as good news. Until it flips that bad news is bad news.

  3. The only real chink in the armor this morning I see id personal spending higher than expected and personal income lower. Is this a canary in a coal mine? Is that spending all stacking up on installment debt? Other than that, the markets are not concerned.

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